Which of the Following Is a Correct Statement

question 10

Multiple Choice

Which of the following is a correct statement?

• A)The more intelligent anyone is, the more creative they will be.
• B)Creativity is negatively correlated with intelligence.
• C)The more convergent your thinking, the more creative you are.
• D)Creativity comes from a prepared mind.

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Definitions:

Net Present Value

The disparity between cash inflows' present value and cash outflows' present value through a certain time frame, utilized to determine an investment's profitability.

Fixed Costs

Costs that do not change with the level of output or sales, such as rent, salaries, and insurance premiums.

Cash Break-even Point

The point at which a business's cash inflows equal its cash outflows, excluding financing.

Degree of Operating Leverage

A ratio that quantifies the sensitivity of a company's operating income to its sales, demonstrating the impact of fixed and variable costs on profitability.